Up $0.38 or 0.64%
The price of crude oil benefited from cold snap/storms over the east coast of the US, production cuts from OPEC, and lower inventories. The crude oil inventory data today showed another drawdown of -7419K vs -4700K estimate. Inventories have fallen 7 consecutive weeks - with most being more than expectations.
Technically, the contract moved above the $55 level back in the beginning of November. That area was near highs from earlier in the year. The level was retested in mid November and has wandered higher since. The high today reached $62.21. That was just short of the May 2015 high at $62.58. That is the next target. A move above opens the door for further gains (technically).
Until then, the market may look to lean against the level as risk can be defined and limited, but look for stops on a break.
